Whenever you buy or sell real estate, you will need to receive or transfer a title—a legal document that clarifies who owns the property. While many will hope that existing titles come with no problems, several issues may impact the transfer of sale. Fortunately, you can recruit the help of a title agency to help research these issues and make sure your real estate transaction is a sound one. To highlight the importance of these third-party services, here are a few essential points to know about title agencies.

What Does a Title Agency Do?

Before a real estate can be finalized, a title agency will review the history of ownership to identify potential problems that may present a buyer with an unexpected burden.

With an in-depth knowledge of real estate law, these third-party organizations will thoroughly research county records to determine who currently owns the property and what the ownership history is.

These searches can reveal several issues that may be passed unknowingly onto the buyer—such as unresolved mortgages, property taxes, inheritances, liens, easements, or restrictions.  

What If Problems Arise During a Property Title Search?

After performing research, the agency will produce a title opinion letter that states whether the ownership is clear. It will also identify problems that impact the sale.

If a title search produces problems—such as liens or easements—it does not mean that the property transfer has to be canceled. Instead, the agency will work to help resolve these matters, such as settling debts or taking steps to rectify easements and other matters legally.

What Is Title Insurance?

Agencies will typically offer title insurance to cover any future events that may discredit ownership—such as fraudulent deeds or property transfers from the past. While these incidents are rare, the policy will pay to correct these mistakes or refund the buyer’s investment should they lose the property completely. This insurance is often required by mortgage lenders to protect their investment.

If you’re purchasing or selling property within the Newark, OH, area, turn to the specialists at Morrow, Gordon & Byrd, Ltd. Providing real estate law services in Central Ohio for more than 80 years, this title agency is recognized for their precision research, allowing you to have confidence in any property transaction. Staffed by qualified lawyers, this team is also equipped to address all matters that may interfere with a clean title transfer. To learn more about these services, visit the firm online. If you’d like to schedule a consultation with an attorney, call (740) 345-9611.